Schoharie County Faces $2.2 Million Overpayment in Medical Insurance
County Officials Baffled by Unaccounted-for Expenses
Schoharie County, NY – The Schoharie County Board of Supervisors has discovered a discrepancy in their 2024 fiscal budget, with an overpayment of $2.2 million in medical insurance expenses. The county had budgeted $8,970,000 for employee medical insurance, but the actual amount paid to the insurance provider is unknown.
Unexplained Expenses
"We are somewhere in the neighborhood, we think, and that’s part of the problem, about $2.2 million over and we do not know at this point why," said Bill Federice, Chairman of the Schoharie County Board of Supervisors. The county’s total budget is $99,348,282, with over $10 million listed as going to the insurance company or other related expenses.
Unreconciled Checks
The county has also identified 8,500 county checks that have not cleared in its online system, leading to questions about whether the county was being overpaid or if services were being authorized that were not budgeted for. "We must not be getting paid or were they authorized services that we were paying for? How does it tie out to what we have authorized or budgeted for?" asked Federice.
Call for Transparency
At a recent Board of Supervisors meeting, Alex Luniewski, Chairman of the Finance Committee, expressed concerns about the lack of transparency in the county’s financial dealings. "Anybody at this table not reconcile their bank accounts in their Town? Oh, we’d all be in trouble," he said. Luniewski motioned for the Treasurer’s Office to provide a written, detailed explanation of the overpayment and a weekly update on the status of health insurance accounts and reconciliation. The motion passed, with the Treasurer’s Office given until January 31 to present a report.
Rebuttal from the Treasurer’s Office
Mary Ann Wollaber-Bryan, the Schoharie County Treasurer, responded to the concerns, stating that the insurance amount is actually higher than what was budgeted due to increasing rates. She also mentioned that the county is implementing a new financial system, which is still being learned and refined. However, she acknowledged that manual reconciliation has always been conducted and is still being done.
Conclusion
The Schoharie County Board of Supervisors is working to address the discrepancy in medical insurance expenses, with a motion passed to require the Treasurer’s Office to provide a detailed explanation and weekly updates. While the cause of the overpayment is unknown, the county’s Treasurer’s Office has assured that the insurance amount is higher than budgeted due to increasing rates. The county’s next board meeting, where the fiscal budget will be discussed again, is scheduled for January 17.
FAQs
Q: How much was budgeted for employee medical insurance in Schoharie County?
A: $8,970,000
Q: How much was actually paid to the insurance provider?
A: Unknown
Q: What is the total budget for Schoharie County?
A: $99,348,282
Q: What is the reason for the overpayment in medical insurance expenses?
A: Unknown, but the Treasurer’s Office attributes it to increasing rates.
